HECM Endorsement Analytics – February 2021

2021 February HECM Endorsements came in at 4,066 units. Losing just one business day from January, February endorsements fell 10.4% over last month’s 4,539 units. Despite this drop, the top two lenders expanded their leads: American Advisors Group had 1,374 endorsements versus 1,287 in January, and Finance of America Reverse had 465 endorsements versus 433 in January. The next five lenders all saw decreases in unit count. Reverse Mortgage Funding endorsed 376 loans, 38% fewer than January, though it’s worth pointing out January was an endorsement count high water mark for RMF. Our summary of HUD’s report can be found here: NV Endorsement 2021_02.

HUD’s January Endorsement Snapshot Report is also now available on its website. HECM to HECM refis hit a record 1,651 endorsement in January. With long term interest rates at their highest levels since early 2020, it remains to be seen if rising rates will dampen HECM refinancing, and possibly HECM lending in general.

New View Advisors continues to offer its Who Buys What From Whom (WBWFW) report as part of our endorsement report subscription. The report compiles publicly available Ginnie Mae data to show which HMBS issuers buy HECMs from which lenders.

The WBWFW report includes:

♦Top Originators – a ranking by original HECM UPB of all lenders over the last twelve months
♦WBWFW – an alphabetical cross-reference between every lender and the HMBS issuer that securitizes its loans
♦Top 100 Trends – a breakdown of loan sales by month, by Top-100 lender, by HMBS issuer.

Edited samples from this month’s WBWFW report are at the end of our endorsement writeup. These reports together provide accurate insight for sales and marketing teams to learn just who’s buying what from whom. The dataset is more complete and timely than what endorsement analysis alone can show.

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